Global Fructose Market size is $4.3Billion in 2019, growing at a CAGR of 4.9% during the forecast period 2020-2025. Fructose is a sweetener used primarily in the food & beverage industry. It is one of the sugars that fruits and vegetables naturally produce. It is one of the three dietary monosaccharides that include glucose and galactose during the digestion procedure, which are directly absorbed into the blood. Fructose can be extracted in both the crystalline and liquid forms. Hydrolyzation of starch into glucose is the main source of fructose and is then converted into fructose. The clearest form of fructose is extracted by grinding corn or sugar and is widely used in the food & beverage industry. It is less toxic and does not encourage an increase in calories. In goods, the purest form of fructose is used to enrich its consistency, texture, and add flavor.
Global Fructose Market Segment Analysis – By Type
In 2019, High Fructose Corn Syrup segment dominated the Global Fructose Market in terms of revenue is estimated to grow at a CAGR of 5.2% from 2020-2025 owing towards the rising demand of corn starch sweeteners. It is a sweetener made from glucose isomerase-processed corn starch to convert some of the glucose into fructose. Using a method called wet milling, it is extracted from corn syrup as a liquid sweetener. It involves elevated solubility, the ability to stay in solution and not to be crystallized under such conditions, such as sucrose. The changing consumer habits to a ready-to-eat meals and convenience foods coupled with the development of healthy variants of existing beverage products abetting towards the growth of the market.
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Global Fructose Market Segment Analysis – Geography
In 2019, the North America region dominated Global Fructose Market in terms of revenue with a market share of more than 41% owing towards huge demand for healthy snack products, combined with the presence of major manufacturers such as Archer Daniels Midland and Tate & Lyle, continues to expand its market in this region. The growing demand for sugar-free foods owing to the presence of large diabetic population aids to the market’s growth. Government has taken initiatives to promote technological advancements and initiatives to escalate the product development process are key factors in the growth of the Global Fructose Market. Asia Pacific is expected to record the fastest growth rate during the forecast period 2020-2025.
Global Fructose Market Drivers
Rising Trend Of Clean Label Products
In developed markets, the increasing need for transparency and authenticity in the food and beverage sector is to ensure that food is derived from identifiable ingredients. The pressure to reduce the use of artificial ingredients and strengthened restrictions on labelling put additional demands on brands around the world. In addition, businesses are also investing heavily in promotions and brand recognition campaigns that are expected to drive the market with regards to the rising demand for fat-free, sugar-free, and low-sugar confectionery products.
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Global Fructose Market Challenges
Major Regulatory Concerns
The key restrictive factors for market growth are stringent regulations for fructose and its derivatives, along with low customer knowledge of the use of various types of sugar. The growth of the market is hampered by the growing adoption of zero calorie sweetener as a replacement for high fructose corn syrup as it causes obesity, diabetes, cardiovascular diseases and digestive problems.
Global Fructose Market Industry Outlook
Product Launches, Merger & Acquisition, joint ventures and R&D activities are key strategies adopted by the players in Global Fructose Market. Global Fructose Market top 10 companies include Archer Daniels Midland Company, Cargill Inc., Tate & Lyle Plc, Global Sweeteners Holdings Limited, Ingredion Incorporated, Showa Sangyo, Japan Corn Starch Co. Ltd., Kerry Group Plc, COFCO Rongshi Bio-technology Co. Ltd and Roquette Frères.
In February 2020, Cargill Inc. launched plant-based patty and ground products for maintaining consistency in the taste of costumers and by providing high-quality protein. This product launch helped the company in attracting many consumers and thus aiding growth to its productivity of sales.
The rise in consumer demand for simple sugar or low-calorie content in beverages and dietary supplements is accelerating the Global Fructose market.
Rising consumer health issues and growing awareness of nutritious food products are accelerating the consumption of low-calorie and sugar-free food and beverages that is likely to be the major driving factor for the market’s growth.
North America is anticipated to dominate the global fructose market in forecast period 2020-2025 attributed to the increasing health awareness in the population coupled with the presence of key players of this market in the region such as Tate and Lyle and Archer Daniels Midland.
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